Originally posted by prozak
View Post
- Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
- Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!
Accountant Problems
Collapse
X
Collapse
-
-
Originally posted by juliehendry View PostAlthough I didn't mention who my accountant is I was contacted by their owner who apparently trawls these boards and recognised my name. Have to say I was creeped out by the uninvited approach which claimed I had not made a complaint
Having a username on a public forum which links to your name / website / company name is asking for trouble, IMHO.Comment
-
Originally posted by KittyCat View PostBut I would have had to pay income tax & NI & employers NI as I had already earned over 7K & would have to do payroll based on figs from my P45? so I would have paid more tax - income tax & NI.
I don't think I am the only one who read your post as suggesting you just paid yourself dividends.Comment
-
Originally posted by prozak View PostAhh yes. Well it wasn't clear that you had already earned a salary this year.
I don't think I am the only one who read your post as suggesting you just paid yourself dividends.Comment
-
Originally posted by KittyCat View PostBut I would have had to pay income tax & NI & employers NI as I had already earned over 7K & would have to do payroll based on figs from my P45? so I would have paid more tax - income tax & NI.Rhyddid i lofnod psychocandy!!!!Comment
-
Originally posted by psychocandy View PostAh. do you mean you've already earned more than 7K from previous/other employment this tax year? If so, you're right there is no benefit to paying yourself any salary this year.Comment
-
Originally posted by psychocandy View PostAh. do you mean you've already earned more than 7K from previous/other employment this tax year? If so, you're right there is no benefit to paying yourself any salary this year.
AlanComment
-
Originally posted by Nixon Williams View PostYou would still be able to claim Corporation tax relief, so it is still worth doing.
Alan
you're gonna have to justify that one Alan.
Anything Kitty now earns is taxed at 20% personal (assuming she is still under the higher tax rate) - negating the CT benefit, essentially just passing the tax to her personal tax band.
Plus she pays 12% NI.
Plus there is 13.8% Employers NI.
Plus every pound she earns means 25% to be paid on the dividends she has already taken (she has already said she is over the higher tax rate due to dividends i think)
Or am I wrong?
By all means please prove me wrong. I am no expert.Comment
-
Originally posted by prozak View PostAhh yes. Well it wasn't clear that you had already earned a salary this year.
I don't think I am the only one who read your post as suggesting you just paid yourself dividends.
"The last couple of years I've just taken all dividend" was what did it for me. Clearly she has other sources of income which invalidates the entire debate. Oh well.Comment
-
Originally posted by prozak View PostWhoa!
you're gonna have to justify that one Alan.
Anything Kitty now earns is taxed at 20% personal (assuming she is still under the higher tax rate) - negating the CT benefit, essentially just passing the tax to her personal tax band.
Plus she pays 12% NI.
Plus there is 13.8% Employers NI.
Plus every pound she earns means 25% to be paid on the dividends she has already taken (she has already said she is over the higher tax rate due to dividends i think)
Or am I wrong?
By all means please prove me wrong. I am no expert.Blog? What blog...?Comment
- Home
- News & Features
- First Timers
- IR35 / S660 / BN66
- Employee Benefit Trusts
- Agency Workers Regulations
- MSC Legislation
- Limited Companies
- Dividends
- Umbrella Company
- VAT / Flat Rate VAT
- Job News & Guides
- Money News & Guides
- Guide to Contracts
- Successful Contracting
- Contracting Overseas
- Contractor Calculators
- MVL
- Contractor Expenses
Advertisers
Contractor Services
CUK News
- Streamline Your Retirement with iSIPP: A Solution for Contractor Pensions Sep 1 09:13
- Making the most of pension lump sums: overview for contractors Sep 1 08:36
- Umbrella company tribunal cases are opening up; are your wages subject to unlawful deductions, too? Aug 31 08:38
- Contractors, relabelling 'labour' as 'services' to appear 'fully contracted out' won't dupe IR35 inspectors Aug 31 08:30
- How often does HMRC check tax returns? Aug 30 08:27
- Work-life balance as an IT contractor: 5 top tips from a tech recruiter Aug 30 08:20
- Autumn Statement 2023 tipped to prioritise mental health, in a boost for UK workplaces Aug 29 08:33
- Final reminder for contractors to respond to the umbrella consultation (closing today) Aug 29 08:09
- Top 5 most in demand cyber security contract roles Aug 25 08:38
- Changes to the right to request flexible working are incoming, but how will contractors be affected? Aug 24 08:25
Comment